Dendreon Announces $47 Million Registered Direct Offering

SEATTLE, April 03, 2008, 2008 /PRNewswire-FirstCall/ -- Dendreon
Corporation today announced that it has entered into a definitive
agreement with an institutional investor to sell 8.0 million shares
of its common stock and warrants to purchase up to 8.0 million
shares of its common stock for gross proceeds of approximately $47
million, before deducting placement agent fees and estimated
offering expenses, in a "registered direct" offering. The investor
has agreed to purchase the shares of common stock and warrants to
purchase common stock at a negotiated purchase price of $5.92 per
share and a warrant exercise price of $20.00 per share. For the
common stock purchased, this represents a 17% premium to the
closing bid price of the common stock on April 2, 2008. The
warrants will be exercisable at any time on or after October 8,
2008 and prior to the seventh anniversary of the closing of the
transaction. The closing bid price of the common stock on the
Nasdaq Global Market on April 2, 2008 was $5.06 per share. Lazard
Capital Markets LLC served as sole placement agent for the
offering.

The securities described above are being offered by Dendreon
pursuant to registration statements previously filed and declared
effective by the Securities and Exchange Commission (the "SEC").
The transaction is expected to close on or about April 8, 2008,
subject to customary closing conditions. We intend to use the net
proceeds from the sale of the shares to fund our commercialization
activities for Provenge(R) (sipuleucel-T), including the investment
in specialized technology systems; to fund clinical trials for
PROVENGE and our other product candidates; to fund our other
research and preclinical development activities for our active
immunotherapies and small molecule products; to satisfy third party
obligations; and for other general corporate purposes, including
working capital. We also may use a portion of the net proceeds to
acquire complementary technologies or products, although we
currently have no agreements or commitments in this regard.

This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state. Copies
of the final prospectus supplement and accompanying base prospectus
relating to this offering may be obtained at the SEC's website at
http://www.sec.gov or from Lazard Capital
Markets LLC at 30 Rockefeller Plaza, 60th Floor, New York, NY,
10020.

About Dendreon

Dendreon Corporation is a biotechnology company whose mission is
to target cancer and transform lives through the discovery,
development and commercialization of novel therapeutics that
harness the immune system to fight cancer. The Company applies its
expertise in antigen identification, engineering and cell
processing to produce active cellular immunotherapy product
candidates designed to stimulate an immune response. Active
cellular immunotherapy holds promise because it may provide
patients with a meaningful clinical benefit, such as survival,
combined with low toxicity. The Company has its headquarters in
Seattle, Washington and is traded on the Nasdaq Global Market under
the symbol DNDN. For more information about the Company and its
programs, visit www.dendreon.com.

Except for historical information contained herein, this news
release contains forward-looking statements that are subject to
risks and uncertainties. Factors that could affect these
forward-looking statements include, but are not limited to, market
demand for Dendreon's common stock and events and developments
affecting Dendreon's business and prospects. Information on the
factors and risks that could affect Dendreon's business, financial
condition and results of operations are contained in Dendreon's
public disclosure filings with the U.S. Securities and Exchange
Commission, which are available at www.sec.gov.